Resolution 68: Institutional boost for private economy

Resolution No. 68-NQ/TW of the Politburo inherits previous resolutions and truly plays a role in boosting private economic development in the new era.

The role of the private economy is increasingly affirmed.

Since the country's reunification, the role of the private economy has been gradually affirmed in the Party's documents and resolutions, from establishing viewpoints to implementing policies. Notably, in the 9th Congress document (January 2001), our Party affirmed that the private capitalist economy is an economic component with a long-term important position in the socialist-oriented market economy. To concretize the viewpoint of the 9th Congress, the 5th Central Conference of the 9th tenure (2002) passed the Resolution "On continuing to innovate mechanisms and policies, encouraging and facilitating the development of the private economy".

This is the first time since the renovation that the Central Executive Committee has issued a resolution on the private economy, which continues to affirm that the private economy is an important component of the national economy. The concept of the private economy as "one of the driving forces of the economy" in the 10th and 11th Congresses reflects a new step forward in the Party's theoretical thinking on the position and role of the private economy in our country's economy.

According to experts, our Party's determination that "the private economy is an important driving force" of the economy is aimed at the positive role of this economic sector. Our Party has clearly recognized that the private economic sector still has much untapped potential, many resources have not been mobilized and has not operated commensurate with its capabilities and resources in the socialist-oriented market economy in our country.

Resolution No. 10-NQ/TW dated June 3, 2017 of the 5th Conference of the Party Central Committee (12th tenure) on developing the private economy into an important driving force of the socialist-oriented market economy marks an important shift in thinking about the role of the private economy.

However, in terms of capital access, if Resolution 10 identifies priority for loans for small and medium enterprises, Resolution 68-NQ/TW (Resolution 68) clearly identifies creating favorable conditions for the private economy to access resources of land, capital, and high-quality human resources.

Regarding investment, Resolution 10 still limits private enterprises in some key sectors such as energy and infrastructure, while Resolution 68 emphasizes the requirement to expand private enterprise participation in important national projects.

Private enterprises are encouraged to participate in important national projects. (Illustration photo)

Regarding the protection of private enterprises, many contents of Resolution 10 were not yet clear, but Resolution 68 affirmed the effective guarantee and protection of ownership rights, property rights, freedom of business, the right to fair competition of the private economy and the guarantee of contract enforcement of the private economy.

Clearly define the 3 elements "Leadership - Creation - Creativity"

Speaking more about the important new points in Resolution 68, economic expert, Associate Professor, Dr. Nguyen Thuong Lang (National Economics University) said that there are 5 very notable new points.

The first new point of Resolution 68 is to affirm the consistency of the private economy as a part of the national economy and to go one step further to affirm that it is one of the most important growth drivers. It can be affirmed that this is the first time this issue has been emphasized in a resolution of the Politburo .

“ Here, the Politburo ’s viewpoint is very clear-sighted, and at the same time a breakthrough of the socialist-oriented market economy. It also shows a long-term vision of the great prospects of Vietnam’s private economy, ” Mr. Lang said, adding that the fate of Vietnam’s economy is linked to the private economy, not to the foreign-invested sector or to the state economy or collective economy. This is a step forward and also a particularly important new point. This new point is consistent with the reform of Vietnam’s economy in recent times, consistent with the great potential of the private economy, and also consistent with Vietnam’s economic structure in the current conditions of a multi-sector economy where the foreign-invested economy and the state economy both show limits to their development.

The second new point of Resolution 68 is that it has pointed out with very specific indicators the success of the private economy in contributing to GDP, the state budget, creating jobs, and many roles in terms of social responsibility and national factors. Along with that, Resolution 68 also determines the goals for the coming years such as 2030 and 2045 on private economic development. Specific quantification, clear targets, so the goals will also be more specific than previous resolutions when these numbers were not available. It can be said that Resolution 68 has gone a step more specifically than previous resolutions and therefore the feasibility is higher.

The third new point is that it clearly shows the three important elements when it comes to the private economy: Party leadership, Government creation and creative enterprises. Resources may be limited but creativity is limitless. With Resolution 68, for the first time, the three elements of "Leadership - Creation - Creativity" have been connected, which were not clear in previous resolutions. This is also a very notable new point of Resolution 68 compared to previous resolutions.

The fourth new point is that the Government now plays the role of a real service apparatus. An apparatus that used to be used to setting all the rules now needs to become the most thorough service, even the best things are reserved for the private economy. Protections such as property rights, business rights are the highest and the level of encouragement can be the highest, not just average encouragement. At the same time, there will be handling of the obstacles at the highest and most thorough level to the private economy.

That is not to mention that Resolution 68 can bring about new breakthroughs that have never been seen before. The creativity of private enterprises requires the opening of large corridors. The political system is now more "open-minded", more friendly, and has paid more attention to the great values ​​that the private economy contributes. The national value system, the new economic value system of the country has elements that can start from the private economy, so that in the future the private economy will play a core role.

The fifth new point of Resolution 68 is to clearly define the role and mission of the private economy in the new conditions: it must be proactive, positive, have a business philosophy, must do business methodically, professionally, and represent the strength of the national economy in the new era.

“ The private economy must fully promote its potential, mobilize all resources to the maximum, be creative at the highest possible level and reach the highest peak that the Party, Government and People expect, ” Mr. Lang stated his opinion.

For Resolution 68 to be effective, it is necessary to have the synchronization of all three parties: State - Enterprises - Associations. In which, the State needs to soon issue detailed guidance documents and build a transparent monitoring mechanism. Private enterprises need to proactively upgrade technology, comply with global rules of the game (especially ESG standards, digital transformation). Associations play the role of a bridge, synthesizing and reflecting difficulties from enterprises to management agencies.

Quang Loc

Source: https://congthuong.vn/nghi-quyet-68-cu-huych-the-che-cho-kinh-te-tu-nhan-386167.html